Leadership in the International Marketplace Essay

Question 1: Examine and comment on the factors that compelled Infosys to develop its own model for delivering IT services. Explain the working of GDM in detail.
One main criteria for any company to develop its’ own internal or proprietary service is to differentiate itself from the competition. Many times, the reason behind the need to differentiate is due to customer requests. However, in the case with Infosys, not only were customer requirements of the service of importance, so was an extremely high level of customer service and anticipation of customer needs. The case presents Infosys as a very proactive organization, meeting customer needs and anticipating the next need before the competition.
One central theme to their service differentiation was the ability to develop customized product of higher quality for less cost than others. A key aspect, however, was their ability to locate the needed service centers at the precisely correct location: at the customer site, nearby the customer site and/or truly off-shore – a location with access to highly competent but lower cost than others. The company officials indicate the work can be done anywhere, allowing freedom within Infosys to determine where the work can be completed at less cost or unutilized capacity or with special skills (Infosys, 2010). They used Global Development Centers to create a large body of knowledge and skill that could multi-task on more than one project simultaneously, thus utilizing peaks and valleys of demand to their advantage. A ‘valley’ of work volume from one client created the opportunity to react to the ‘peak’ of work from another, thereby creating a stable, consistent workforce ready to ...

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...ould prove invaluable in the coming years. Once the company had established its value proposition, it could now demand a higher price for its services. This allowed the company to continue business as usual but increase profits because of the reputation it had earned as a global leader in its field.

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